CBI ARRESTS A JOINT GENERAL MANAGER OF CSD AND A DIRECTOR OF A PRIVATE FIRM ALONG WITH TWO OTHERS IN AN ALLEGED BRIBERY CASE AND CONDUCTS SEARCHES.

Press Release
New Delhi , 01.07.2012

            The Central Bureau Of Investigation has arrested a Joint General Manager, CSD (under Ministry Of Defence), Head Office, Mumbai; a Director of a Mumbai based private firm supplying consumers products and two other private persons yesterday in an alleged bribery case.

 

            The arrested accused were produced today in the Court at Mumbai and were remanded to police custody.

 

            CBI busted a corruption racket involving officials of Canteen Stores Department (CSD) and a private firm supplying consumer products after registering a case for the offences under Prevention of Corruption Act, Criminal Conspiracy and Abetment.

 

            It is alleged that CSD operates from its Head Office at Mumbai and has depots all over India to provide consumer goods to the serving and retired personnel of Army, Navy and Air Force. Such goods are made available at uniform and concessional price throughout India.

 

            The case was registered on the information that the said private firm allegedly acted as marketing arm and representative of number of companies against the policy laid by CSD. The firm through its Director & officials of CSD entered into criminal conspiracy with each other and in furtherance of the said conspiracy manipulated various demands of CSD items of firm in favour of the clients.The CSD officials allegedly favoured the firm at various stages in CSD such as Introduction of items, price revision, delayed & excess supply, demand creation, budget allocation etc. In lieu of favourable decisions, the firm through it Director had allegedly paid huge illegal gratification regularly to officials of CSD.

 

            The Joint General Manager, CSD demanded and accepted an amount of Rs.1.25 lakh as illegal gratification from the Director of said private firm. Both were caught red-handed at the residence of Joint GM at Napeansea Road while indulging in this transaction.

 

            Searches were conducted at 20 places in Mumbai, Haryana, Himachal Pradesh, Chandigarh & Delhi at the official & residential premises of the accused persons and the suspected officials. During the search, incriminating documents, huge cash and jewellery were recovered.

 

            Further investigation is in progress.

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